If aggregate quantity supplied is greater than aggregate quantity demanded at a particular price level, then a
A) shortage exists and consumers will bid the price level up.
B) surplus exists and consumers will bid the price level up.
C) surplus exists and the price level will decline.
D) shortage exists and the price level will decline.
E) c and d
C
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The above table gives the demand schedule and the supply schedule for housing in Anytown, U.S.A. If a rent ceiling of $600 was imposed in the housing market, then
A) there would be a surplus of apartments. B) there would be a shortage of apartments. C) the market would reach equilibrium at the quantity of 60 housing units. D) the supply of housing would increase.
A rise in the price of a product lowers the total revenue from the product if the
A) income elasticity of demand exceeds 1. B) good is an inferior product. C) demand for the product is inelastic. D) demand for the product is elastic.
A credit item on the U.S. balance of payments is an item that
a. makes U.S. dollars available to foreigners. b. causes foreigners to use up their U.S. dollars. c. is like an import. d. requires the use of official researchers to offset deficits.
Social Security is an income support program, designed primarily to maintain the living standards of the poor
a. True b. False Indicate whether the statement is true or false